Essay on The Great Depression Was A Disaster Brought Upon The U.s.

866 Words Sep 18th, 2015 4 Pages
The Great Depression was a disaster brought upon the U.S.A by multiple sources. There were multiple supporting causes that lead up to the crash of the stock market. The Great Depression was the largest low point that U.S economy and the worlds economy have ever seen. This time in history had the highest number of unemployed ever seen in the United States. Ben Bernanke said in 2002 that the Great Depression was the “worst economic disaster in American history”. The Depression wasn’t just cause by the stock market crash of 1929. During the 1920’s or the Roaring 20s’ loaning and borrowing money on credit was becoming popular. While more and more people were loaning out, farmers were facing an age of mechanization allowing faster and more productive farming. Soon farmers were going into debt to buy tractors and machinery. They began to over produce so prices fell. Farmers soon started to foreclose and move on. The government didn’t subside farm prices during this time increasing the stress on the economy. The banks during the 1920’s were all privately owned and not protected by the government. So after the crash of the stock market in 1929, people rushed to the banks to withdrawal their money and most banks ended up closing up. The federal reserve should of protected the banks so people wouldn’t panic. The crash of the stock market of 1929 was a crucial point that made the snowballing depression quicken. After the market fell people began pulling money from…

Related Documents